Saturday, June 16, 2007

Monthly chart shows price has found support the last 12 months around the $0.76 to $1.00 level. However, the monthly chart shows this as a possible bear flag pattern. Price needs to clear $1.75 for any real upside potential.The weekly chart shows a bullish butterfly pattern for the move up off the $1.01 level. However, upside momentum has stalled at the .618 fib area, as evidenced by the doji and spinning top.the daily chart shows a possible 5 wave pattern completion into the .618 fib area. IF we have 5 waves up, THEN look for retracement to the .618 fib area. Friday's price action shows a small kicker type of signal, with the bulls gapping up the opening price to the prior day's open. However, the bulls couldn't keep up the upside momentum with profit taking evident as they tested the prior highs. Look for further weakness next week.